Presentation to the NWT Chamber of Commerce AGM

April 3, 2012

Norman Wells Chamber Report

Overview of PresentationIntroduction to the Norman Wells & District Chamber Regional and Local Economic UpdateAccomplishments and InitiativesChallenges & IssuesObjectives for 2012

Norman Wells Chamber ReportNorman Wells Chamber Report

Introduction

The Norman Wells & District Chamber of Commerce was founded in 1972Current membership of 38Board of Directors:

President - Chris Buist Directors Sara Balanuik, Pete Spilchak, Stefan Blake

Norman Wells Chamber Report

Regional and Local Economic UpdateDeclining oil production in Norman Wells.

2011 Call for Nominations: Five companies bid in excess of $534M for 11 parcels in the Sahtu.

Husky Energy completed a two-well program and a 3-D seismic program in the Tulita District. An estimated $40M was spent and 150 people employed.

Explor Data completed the first year of a two-year seismic program in the parcels purchased in 2011. An estimated $25M was spent and 75 people employed.

Norman Wells Chamber ReportNorman Wells Chamber Report

Regional and Local Economic UpdateNegotiation of Access and Benefits Agreements are underway between the successful 2011 bidders and the Tulita Land District Corporation to facilitate exploration in 2013.

Two land parcels in the Fort Good Hope area are currently available (bids close in June).

Outfitting and adventure tourism remains an economic benefit to the region.

Mineral exploration remains at minimal levels.

Norman Wells Chamber Report

Accomplishments/InitiativesIn conjunction with the Inuvik Chamber of Commerce, submitted the Mackenzie Valley Fibre Optic Link resolution to the Canadian Chamber of Commerce.

Active member of territorial and national Chambers of Commerce; affiliation with the Edmonton Chamber & World Trade Centre

Participation on municipal committees

Attended variety of meetings with business and government

Norman Wells Chamber ReportNorman Wells Chamber Report

Challenges & IssuesNorman Wells Chamber Report

Concern with land access issues

Termination of Natural Gas Supply – supply to commercial users will be terminated June 30, 2013. Conversion costs are expected to have a significant impact on both large and small businesses.

Aging municipal infrastructure

Ongoing lack of permanent land transportation

Norman Wells Chamber Report

Challenges & IssuesNorman Wells Chamber Report

Proposed power rate increases are of concern to the business community.

Current shortage of rental accommodations, office space and residential properties.

Businesses will be challenged to meet the increased demands of industry (increased exploration activities) and continue to serve existing markets.

Norman Wells Chamber Report

Objectives & Initiatives for 2012

Increase membership

Establish Chamber as a strong advocate for business in the region

Strengthen relationships with other Chambers

Continued participation and membership in NWT and Canadian Chamber of Commerce

Website enhancement

Norman Wells Chamber ReportNorman Wells Chamber Report